THE Securities and Exchange Commission (SEC) has called on the Filipinos to be vigilant about frauds and scams while securing their financial future as the country joined the World Investor Week celebration from October 4 to 10, 2021.
“We recognize the importance and continue to strive for a scam-free financial environment, which will only be possible if we work together with the public in exposing and avoiding fraudulent schemes,” said SEC Chairperson Emilio Aquino.
According to the official, the SEC “is pleased to take part in this year’s World Investor Week, taking cues from the International Organization of Securities Commissions’ (IOSCOs) mission to boost financial literacy in order to promote sustainable economic growth and prevent the spread of scam and fraud among the investing public.”
As of October 5, the SEC has issued 87 advisories against groups and individuals who have been soliciting investments from the public without the necessary license from the Commission.
In 2020 and 2019, the commission also issued a total of 126 and 50 advisories, respectively.
At least four cease-and-desist orders against 15 groups and individuals, including Chiyuto Creative Wealth Documentation Facilitation Services and Royal O’ Consultancy Services, were issued for their alleged unauthorized investment-taking activities during the same period, the commission reported.
Some 48 cases were also pending in court for violations of Republic Act No. 8799, or The Securities Regulation Code (SRC).
“So far, a total of 187 individuals have been charged with violations of the SRC, with the SEC securing 17 judgments of convictions against 19 individuals meted with a total of imprisonment of 572 years and a total fine of P25 million imposed by various courts,” it added.
SEC urged the public “to heed the IOSCO’s guidelines in becoming an investor, so that they may protect their hard-earned money and avoid fraudulent entities.”
“A smart investor should also verify that the investment professional they are transacting with is duly licensed; understand the risks that exist in all investments, and plan for investments based on their future needs and goals,” said the commission.
According to IOSCO, a smart investor researches investment opportunities independently, avoids “get rich quick” schemes, and never discloses personal information on an unexpected call or other communication.
“Moreover, a smart investor realizes the value of sustainable finance, whether it be environmental, social, and governance investing, socially responsible investing, or impact investing,” it added.
On October 6, SEC formally opened the celebration of World Investor Week in the country through a bell-ringing ceremony in partnership with the Philippine Stock Exchange.
On October 8, the commission will also host a free webinar on how to spot and unmask investment scams, which will be livestreamed on the Facebook page of the Commission and the SEC Campaign Network Partners.
SEC said they will continue to host different events throughout October, as it prepares for the celebration of Investor Protection Week from November 8 to 12.
The World Investor Week is a global campaign by IOSCOs that encourages securities regulators to put a spotlight on efforts to promote investor protection. (SunStar Philippines)